Significant regulatory changes are underway in the United States following a dispute between the US Department of Defense and an artificial intelligence firm called Anthropic. Early last March 2026, the Pentagon listed the AI firm as a “Supply Chain Risk to National Security” after the firm refused to ease the ethical standards set for its AI model, Claude. The label usually extends to foreign-owned companies like Huawei, making the move unprecedented for a US-owned tech firm.
This follows a series of events after the Anthropic AI firm declined to allow its AI to be used for mass domestic spying or for the creation of fully autonomous lethal weapons. As a retaliatory measure, the US government is drafting a set of procurement policies that will necessitate AI firms working with government agencies to provide the government with an irrevocable license to use the AI for “any lawful purpose.”
This shift was more evident after OpenAI’s signing of the Pentagon’s agreement, which included the same “all lawful purposes” phrase, suggesting a more stringent requirement for AI companies that seek government contracts.
Summary of the “New Normal” for AI Firms
| Rule Category | Previous Standard | New 2026 Expectation |
| Usage Rights | Company-defined “Safety Terms” | “Any Lawful Use” by Government |
| Safety Filters | Ethical “Red Lines” (No Lethal Use) | Human-in-the-loop (but no model-level block) |
| Social Guardrails | DEI & Safety fine-tuning | “Neutral/Non-partisan” (Anti-woke) |
| Risk Status | Market-based competition | Supply Chain Risk designation for non-compliance |
Additionally, the General Services Administration has issued new draft guidelines that include the application of “neutrality” rules, which limit the extent to which ideological considerations or DEI-based response modifications are made to the output of the AI.
However, the government is reviewing the possibility of obtaining additional Defense Production Act powers to gain priority access to the use of AI, which may significantly impact the nature of the relationship between technology companies and the government.
